“Fintech is not only an enabler but the driving engine.” – Pierre Gramegna
Be it subscribing to your favorite Netflix monthly plan with your smartphone or transferring money online, fintech makes all of it possible for us. The unprecedented technological advancement has completely revolutionized how people make financial transactions and has businesses investing heavily in fintech software development.
With 77% of traditional financial institutions focusing on enhancing their digital footprint and digital transactions amounting to an astounding $5.2 trillion, the fintech industry is booming like never before. It is proving to be a holy grail for accomplished companies like PayPal and relatively new players like Robinhood as well. The promising fintech growth statistics coupled with the low competition make this industry a golden egg for businesses. Here’s how established companies and new-comers can reap the benefits of fintech software development.
“People need banking, not banks.” – Ranjit Sarai, President’s Choice Financial
You don’t need to be an expert accountant to take care of your finances anymore. Some of the best fintech software development companies are creating smart applications that can take care of your personal needs like online banking, budget allocation, investment tracking, and asset management.
When it comes to managing personal finances, Mint is the go-to application. Besides other services, the AI-powered fintech solution carefully watches your spending habits and uses the magic of algorithms to suggest improvements in finances and budget allocation.
There’s still room for improvement though and these financial technologies need to get smarter & more independent of human intervention and users (especially Millennials) are constantly seeking improvements in fintech software development. Take the example of the personal money app Ziglu, which raised its targetted $1.3 million investment in the first three hours of the crowdfunding campaign.
Unlike traditional money lending services, smart P2P payment services like PayPal and Google Pay allow users to send and receive money instantly without the intervention of any third-party services. Some major benefits of P2P payment apps are that it eliminates the need for an account in the same bank and also removes any commissions.
However, financial software development services are not compromising on security in the pursuit of giving a fast and cost-effective alternative. They are using the latest technologies like NFC, face/voice recognition, biometric authentication, and even blockchain to make your financial transactions safe from cybercriminals.
The market is far from being saturated. P2P payment market growth rate and increasing demand for exceptional customer service, make online P2P payments services an investor’s favorite.
“Artificial intelligence would be the ultimate version of Google. The ultimate search engine that would understand everything on the web. It would understand exactly what you wanted, and it would give you the right thing. We’re nowhere near doing that now. However, we can get incrementally closer to that, and that is basically what we work on.” —Larry Page
This probably is the most interesting and investable technology at the moment. Almost all major industries are opting for artificial intelligence and machine learning to streamline their operations, save time, and make informed financial investments.
According to Business Insider, AI-driven software will be managing over a whopping $4 trillion worth of funds by 2022.
Artificial intelligent fintech solutions can make financial decisions for you, without the need for constant scrutiny by humans. It uses past user data to literally predict the future and present consumers with solutions they are looking for.
One of the biggest advantages of Artificial Intelligence in fintech is that the more it learns, the better it gets, which is something humans cannot match. Investing in AI will not only help businesses perform efficiently but also make the lives of their customers easier and more manageable.
To be successful in this fast-paced technological time, one needs to be thorough with market research and up-to-date with the latest innovations in fintech software development required to support the changing needs.
If you can help your customers get rid of those spreadsheets and allow them to manage payments, budgeting, and investments on-demand, your fintech solution could be the next big thing to hit Apple and Google App Store.
“We’re witnessing the creative destruction of financial services, rearranging itself around the consumer. Who does this in the most relevant, exciting way using data and digital, wins!” – Arvind Sankaran